Video-o-rama: Dow back above 9,000

The Dow Jones Industrial Index on Thursday breached 9,000 for the first time since January and the Nasdaq Composite Index notched up a 12th consecutive advancing day (the first time sine 1992) as favorable reactions to earnings and economics reports propelled stocks and other risky assets higher. Meanwhile, the usual debate on the outlook for the economy and shenanigans of financial institutions again dominated the video channels over the past few days.

Fed Chairman Ben Bernanke’s bi-annual testimony on Capitol Hill (and an expected grilling by Alan Grayson) and other highlights of the week’s trials and tribulations were captured on video and are included in this video-o-rama compilation. Strutting their stuff were a star-studded cast including the likes of Martin Feldstein, Stephen Roach, Bill King, Nouriel Roubini, Sheila Bair, Mario Gabelli and George Friedman.

The compilation starts off with an interview with Harvard’s Martin Feldstein about his “double-dip” economic outlook, and concludes with a Charlie Rose conversation about the 40th anniversary of the moon landing.

Bloomberg: Harvard’s Feldstein sees risk of “double-dip” recession in US

“Martin Feldstein, an economics professor at Harvard University, talks with Bloomberg’s Betty Liu about the outlook for the US economy. Feldstein, speaking in New York, also discusses Federal Reserve monetary policy, the performance and future of Chairman Ben Bernanke.”

“The worst may not yet be over for the global economic crisis as world trade could continue to contract by another 10% in volume terms this year, Pascal Lamy, director general of the World Trade Organisation, told CNBC.”

“Congressman Ron Paul is ‘very pessimistic’ about the state of the economy, largely because – from his view – the Obama Administration ‘continues to do the things that created the problem in the first place’.

“Long a proponent of small government and a staunch opponent of the Federal Reserve system, Paul’s main point is that increased spending and higher deficits are not the solution to our problems, but their cause.

“‘You can take care of people, but never with a deficit, never by expanding the spending,’ the Texas Republican says in this exclusive video interview, taped in the Capitol Hill Rotunda in Washington D.C. ‘The more we do to interfere with the correction – the longer it lasts.’

“Had he been elected, Paul said he would be doing ‘a lot less’ than President Obama and blames Keynesian economics – which advocates increased government borrowing and spending during times of duress – for our nation’s current ills.”

“Which financial institutions received this money? Bernanke’s answer: “I don’t know.” As the Fed was lending this money, the dollar increased by 30% in value. Grayson asks, “Was this a coincidence?” Bernanke’s answer: “Yes.”

“A few days ago, Reuters reported that the Obama administration is considering another plan to stave off foreclosures: Rent-to-own. (The administration’s original plan – mortgage modifications – has so far been a disappointment).

“The goal of the program would be to reduce foreclosures and keep people in their houses – by reducing their monthly payments and eliminating the crushing burden of debt on homeowners that are underwater.

“Our guest Dan Alpert of Westwood, has proposed a version of rent-to-own as explained in the video clip.”

“Columnist and portfolio manager James Altucher explains to Dow Jones Newswires reporter Shelly Banjo why the one thing people can count on is people getting old. Investors betting on pharmaceutical companies like Eli Lilly and Wyeth are bound to benefit when these companies introduce their new Alzheimer’s drugs to the market.”

The Wall Street Journal: Chinese-style of monetary policy is dangerous

“The debate is open about whether quantitative easing works. What does work is China’s policy of forcing banks to lend, never mind the consequences. But those consequences are severe: massive amounts of defaults, not to mention asset price bubbles.”